Taking Control of Your Costs: A Cost Accounting Tool for Greenhouse and Outdoor Crops

Summary

A simple Greenhouse Cost accounting program, developed in Microsoft Excel and distributed by Rutgers University lets producers determine the costs and returns of each crop that they produce. The newest version of this user-friendly cost accounting software program also calculates costs of crops produced outdoors as well as greenhouse crops. The program generates information showing total costs, and net returns per unit. It enables users to easily determine the profitability of each crop. From this information, producers can determine which crops are their winners and losers. This software also will assist producers make decisions on pricing, identifying and reducing unprofitable production costs and increasing sales of profitable crops.

New features of the New Jersey Cost Accounting Program include calculating the percentages of each overhead costs, information from the balance sheet and calculation of key ratios. In addition to analyzing their actual costs, managers can use the program as a planning tool to analyze the impact of increased energy costs and prices a well as changes in marketing mixes, or other changes they are considering in their business. The program also can be used by greenhouse management classes or for extension workshops.